Nigeria’s crude oil production dropped in January – OPE

Nigeria’s crude oil production marginally dropped in January 2024 compared to what it was in December 2023.

The Organisation of Petroleum Exporting Countries said Nigeria’s crude production dropped from 1.422 million barrels per day in December to 1.419mbpd in January, decreasing by 3,000bpd, according to secondary sources.

This was contained in OPEC’s Monthly Oil Report released Tuesday for February 2024.

However, the report said that the nation’s oil production rose from 1.33mbpd to 1.42mbpd, based on data obtained through direct communication.

OPEC disclosed that crude oil output increased mainly in the United Arab Emirates, Saudi Arabia and Venezuela.

It added that the total crude production in the 12 OPEC states averaged 26.34mbpd last month, reducing by 350,000 bpd.

“According to secondary sources, total OPEC-12 crude oil production averaged 26.34 mb/d in January 2024, lower by 350 tb/d, month-on-month. Crude oil output increased mainly in the UAE, Saudi Arabia and Venezuela, while production in Libya, Kuwait, Iraq and Algeria decreased,” the report said.

On world oil supply, the report said preliminary data indicates that global liquids production in January decreased by 0.6 mbd to an average of 101.8 mbd compared with the previous month.

“Non-OPEC liquids production, including OPEC natural gas liquids is estimated to have decreased by 0.2 mbd, month-on-month in January to average 75.5 mbd. This is higher by 1.6 mbd, year-on-year.

“Preliminary estimated production decreases in January were mainly seen in the US and other Eurasia and were partially offset by rises in China, Canada and Brazil.

“The share of OPEC crude oil in total global production in January, decreased by 0.2 pp to stand at 25.9 per cent compared with the previous month.

“Estimates are based on preliminary data for non-OPEC supply, OPEC NGLS and non-conventional oil, while assessments for OPEC crude production are based on secondary sources,” the report stated.

Nigeria’s current oil output is below the nation’s 2024 budget target of 1.78mbpd.

Nigeria’s 2024 budget depends heavily on proceeds from crude sales.

Meanwhile, Nigeria’s crude oil production rose to 1.418mbpd in December 2023, a report by the Organisation of the Petroleum Exporting Countries said.

OPEC, in its Monthly Oil Market Report for January 2024, said Nigeria’s crude oil production increased by 100mb/d, from 1.319mbpd in November, according to secondary sources.